Editor
The presidential race affects Wall Street gains despite Netflix’s better-than-expected Q2 earnings report.
Netflix’s second-quarter earnings report shows better-than-expected subscription numbers. The report was expected to boost Wall Street stock sentiment and cover some of the previous days. However, the political establishment has severely imprisoned the stock market in the U.S. Fragile sentiment due to U.S. political uncertainty calls for Biden to withdraw his reelection bid. The U.S. presidential race has raised some concerns over Biden’s health and his ability to run for a second term. On the other hand, some reports talked about the possibility of forcing Biden to exit the race. These reports were based on former House Speaker Nancy Polosie’s latest meeting with the Democrats. As for the Republican side, Trump is gaining a lot of support after the recent assassination attempt.
As political race tension rises, public interest and Wall Street fears grow day by day, which has been affecting the U.S. stock market for several days. In turn, the fear of the impact of this presidential race has caused calls that the current U.S. president, Biden, should excite the race for the sake of the United States.
In other news, Netflix and tech giants are in the spotlight this week and in the weeks to come. Fourthly, Neftlix’s quarterly reports were better than the market explanations. The company stock rose by 2% this Friday due to lower-than-expected subscriber numbers. Furthermore, American Express fell over 3% on disappointing revenue growth. Intuitive Surgical climbed over 8% after beating Q2 estimates.
Travelers fell over 5% after reporting a $65 million underwriting loss, and CrowdStrike slumped 12% due to a global IT outage from a software update. That being said, the market will turn its attention to Microsoft, Alphabet, and Tesla’s 2Q earnings report next week. Focus on AI cues from Microsoft and Alphabet, and Tesla’s performance will be watched amid declining sales.
Meanwhile, in the U.S. stock market, Wall Street Mian three indices fell, heading for a weekly loss. As of 12:04 a.m. ET, the S&P 500 benchmark was down by 0.29% to 5.528.90 basis points. The tech-heavy company declined by 0.34% to 17.810.60 basis points. While the Dow Jones industrial average fell by 0.78% to 40.335.14 basis points,.
The U.S. dollar climbed this Friday on track for its second straight daily advance and set for its first weekly gain in three weeks. Michael Brown, market analyst at Pepperstone in London, commented on its interview with Reuters. “It’s perhaps a result of the selling pressure earlier in the week, and at the tail end of last week, it seemed rather overdone, particularly when one considers that U.S. economic growth remains firm and that while the Fed is set to cut in September, the easing will still be relatively synchronized across G10 central banks.”
The market sees a higher probability that a U.S. Federal Reserve official will cut interest rates by 25 basis points in September. As for December’s interest rate cuts, the market is still uncertain about whether they will happen or not.
Market In the oil market, crude prices fell Friday, heading for a weekly loss. WTI dropped 1.1% to $80.42 per barrel, and Brent fell 0.9% to $84.38 per barrel.
